In-Depth Analysis
Zimbabwe
The new dispensation has failed to manage an economic turnaround, following the ouster of former President Robert Mugabe in 2017. Foreign investment inflows have not materialised to the extent that the Mnangagwa-administration was hoping for. The country’s economic hardship is likely to persist, amid a deepening currency crisis and the risk of growing civil unrest.
External factors have led to conditions deteriorating in 2019, and the economic environment has grown more fragile as a result. Policy and economic structure risks are very much intertwined at this stage. Not enough progress has been made on the policy front to restore confidence and entice would-be foreign investors. There is little prospect of significant change for the better to Zimbabwe’s economic and financial challenges in the short- to medium term. It is our view that the economy is going to suffer an economic contraction in excess of 7% this year. (Source: Zimbabwe Annual Country Profile, published November 2019)
Macroeconomic Data
(2018)
|
Fiscal Balance (as a % of GDP) |
-7.8 |
|
Consumer Price Index (% change y-o-y, avg) |
10.5 |
|
Current Account Balance (as a % of GDP) |
-7.5 |
|
Real GDP (annual % change) |
6.2 |
|
GDP per Capita, US$ |
1,301.0 |
|
Import Cover (months) |
0.1 |
|
Population, million |
14.4 |
| Total External Debt (as a % of GDP) |
65.4 |